NRF sees holiday sales growing 6% to 8%
The National Retail Federation projects that holiday sales will grow between 6% and 8% compared with last year, or to between nearly $943 billion and $960 billion, said Matt Shay, the trade association's CEO.
- That contrasts with nearly $890 billion in retail sales last year on record growth of 13.5%.
Why it matters: If NRF numbers prove out, it's an indicator that consumers are willing to at least maintain spending when factoring into inflation.
- The trade association's projection helps set expectations for the all-important holiday season, when retailers are said to go into the black.
Of note: NRF says it looks at consumer spending between Nov. 1 and ends Dec. 31. Its projections exclude auto, gas and restaurants.
Details: E-commerce sales specifically are expected to grow between 10% and 12% or between nearly $263 billion and almost $268 billion. year-over-year, up from $239 billion last year.
- While inflation and rising interest rates will impact holiday spending, consumers are willing to take on extra credit or debt to support spending, Shay says.
- Importantly, they will be looking for bargains to offset the rise in prices, he adds.
Meanwhile: Seasonal hiring is expected to be between 450,000 to 600,000 versus about 670,000 last year.